Delegation Pool Operations

Beta: This documentation is in experimental, beta mode. Supply feedback by requesting document changes. See also the related Staking Pool Operations instructions.

Validator operators should follow these instructions to carry out delegation pool operations for staking. You may delegate as little as 10 APT plus a small add stake fee that will be mostly refunded as rewards at the end of the current 2-hour epoch. You might notice that some UIs might use 11 APT as the minimum for a round number. Note that your validator will become part of the Active Validator Set only when the delegation pool satisfies the minimum cumulative staking requirement of 1 million APT.

The delegation pool owner should set an operator for the pool via the set_operator function described in the Perform pool owner operations section. The operator should then start their own Aptos node, as it is a best practice to have a different account for owner and operator. Once the delegation pool attains 1 million APT, the operator can join the validator set.

The operator address will receive the pool commission that was set at the initialization of the delegation pool, which is automatically distributed as stake in the delegation pool at the end of each epoch. The operator will act as a normal Delegation Pool account that is able to do all of the operations described in Perform delegation pool operations.

Prerequisites

1. Install and configure the Aptos CLI. If you are looking to develop on the Aptos blockchain, debug apps, or perform node operations, the Aptos tool offers a command line interface for these purposes.
2. Initialize local configuration and create an account on the Aptos blockchain.

Initialize a delegation pool

Before initializing a delegation pool, you need to know the delegation pool address. You can use the following CLI commands to obtain the delegation pool address depending on where you are in the process:

• Before you create the delegation pool:

  aptos account derive-resource-account-address --address <owner_address> --seed "aptos_framework::delegation_pool<SEED>" --seed-encoding utf8
  • The <SEED> is a number chosen by you to create the resource account address to host the delegation pool resource. Once you choose a seed, you should use the same value for all following usages.
• After you create the delegation pool:

  aptos account derive-resource-account-address

1. Run the command below, substitute in the profile you previously configured during initialization:

   aptos move run --profile <your-profile> \ 
   --function-id 0x1::delegation_pool::initialize_delegation_pool \
   --args u64:1000 string:00

   Where --args:

   • u64:1000 represents operator_commission_percentage - 1000 is equivalent to 10% and 10000 is 100%.
   • string:00 represents delegation_pool_creation_seed - a number chosen by you to create a resource account associated with your owner address; this account is used to host the delegation pool resource. You should use the same number here as the --seed you used in the previous step to create the delegation pool.

   Note that once operator_commission_percentage is set, it cannot be changed.

2. Once this command is executed without error an account for resources is established using the owner signer and a provided delegation_pool_creation_seed to hold the delegation pool resource and possess the underlying stake pool.

3. The owner is granted authority over assigning the operator and voter roles, which are initially held by the owner.

4. The delegation pool can now accept a minimum amount of 10 APT from any user who wishes to delegate to it.

5. The delegation pool can now connect to the Aptos Network.

Perform delegation pool operations

This section describes the available operations that can be performed on this recently created pool. Once the delegation pool has been established, use the Aptos CLI to operate the pool. The available actions that can be performed on it include:

• Add amount of coins to the delegation pool pool_address using the public entry method add_stake(delegator: &signer, pool_address: address, amount u64) and substituting your values into the command below before running it:

  aptos move run --profile delegator \
  --function-id 0x1::delegation_pool::add_stake \ 
  --args address:<pool_address> u64:<amount>

• Undelegate (unlock) the amount of funds from the delegator's active and pending active stake up to the limit of the active stake in the stake pool using public entry method unlock(delegator: &signer, pool_address: address, amount: u64) and substituting your values into the command below before running it:

  aptos move run --profile delegator \
  --function-id 0x1::delegation_pool::unlock \ 
  --args address:<pool_address> u64:<amount>

• Cancel undelegate (reactivate stake) amount of coins from pending_inactive state to active state using public entry method reactivate_stake(delegator: &signer, pool_address: address, amount: u64) with the command and your values:

  aptos move run --profile delegator \
  --function-id 0x1::delegation_pool::reactivate_stake \
  --args address:<pool_address> u64:<amount>

• Withdraw amount of owned inactive stake from the delegation pool at pool_address using the public entry method withdraw(delegator: &signer, pool_address: address, amount: u64) and the command:

  aptos move run --profile delegator \
  --function-id 0x1::delegation_pool::withdraw \
  --args address:<pool_address> u64:<amount>

Perform pool owner operations

Delegation pool owners have access to specific methods designed for modifying the operator and voter roles of the delegation pool. Use the following Aptos CLI commands and include the relevant addresses:

• Set the operator address for the delegation pool:

  aptos move run --profile delegation_pool_owner \
  --function-id 0x1::delegation_pool::set_operator \
  --args address:<new_operator_address>

Check delegation pool information

Until the delegation pool has received 1 million APT and the validator has been added to the set of active validators, there will be no rewards to track during each cycle. In order to obtain information about a delegation pool, use the Aptos View function.

• get_owned_pool_address(owner: address): address - Returns the address of the delegation pool belonging to the owner, or produces an error if there is no delegation pool associated with the owner.

• delegation_pool_exists(addr: address): bool - Returns true if a delegation pool exists at the provided address addr.

• operator_commission_percentage(pool_address: address): u64 - Returns the operator commission percentage set on the delegation pool at initialization.

• get_stake(pool_address: address, delegator_address: address): (u64, u64, u64) - Returns total stake owned by delegator_address within delegation pool pool_address in each of its individual states: (active,inactive,pending_inactive).

• get_delegation_pool_stake(pool_address: address): (u64, u64, u64, u64) - Returns the stake amounts on pool_address in the different states: (active,inactive,pending_active,pending_inactive).

• shareholders_count_active_pool(pool_address: address): u64 - Returns the number of delegators owning an active stake within pool_address.

• get_pending_withdrawal(pool_address: address, delegator_address: address): (bool, u64) - Returns if the specified delegator possesses any withdrawable stake. However, if the delegator has recently initiated a request to release some of their stake and the stake pool's lockup cycle has not ended yet, then their funds may not yet be available for withdrawal.

• can_withdraw_pending_inactive(pool_address: address): bool - Returns whether pending_inactive stake can be directly withdrawn from the delegation pool, implicitly its stake pool, in the special case the validator had gone inactive before its lockup expired.

In the Aptos TypeScript SDK, a View function request would resemble:

import {AptosClient, ViewRequest} from "aptos";

const NODE_URL = "https://aptos-testnet.public.blastapi.io";

(async () => {
    const client = new AptosClient(NODE_URL);
    const payload: ViewRequest = {
        function: "0x1::delagation_pool::get_stake",
        type_arguments: [],
        arguments: ["pool_address", "delegator_address"],
    };
    console.log(await client.view(payload));
})();

Alternatively, you can use Aptos CLI to call View functions.

 aptos move view [OPTIONS] --function-id <FUNCTION_ID>

To discover the available options and the process for making an aptos move view call, access the help information with aptos move view --help. This will display the required arguments for invoking the view functions.

Compute delegation pool rewards earned

Use this formula to calculate rewards earned for active and pending_inactive staking. This formula assumes that different stake operations such as unlock and reactivate take out the principals first and then rewards. Therefore, rewards earned may vary based upon how the formula you use is constructed:

1. Get the amount of active and pending_inactive staking from the get_stake view function.

2. Calculate principal:

   • "active principal" = AddStakeEvent - UnlockStakeEvent + ReactivateStakeEvent. If at any point during the iteration, "active principal" < 0, reset to 0. Negative principal could happen when the amount users unlock include rewards earned from staking.
   • "pending inactive principal" = UnlockStakeEvent - ReactivateStakeEvent. If at any point during the iteration, "pending inactive principal" < 0, reset to 0. Negative principal could happen when the amount users reactivate include rewards earned from staking.

3. Compute rewards earned:

   • active_rewards = active - active principal.
   • pending_inactive_rewards = pending_inactive - "pending inactive principal".